Top Stories This Week
Fundstrat’s Tom Lee Points To Bitcoin Futures As Reason For Price Declines
Tom Lee released[1] a report this week that posited that the reason for the falling price of Bitcoin can be linked to the expiration of Bitcoin futures contracts. According to Lee, Bitcoin’s price usually drops around 10 days before the expiration of the futures contract, but then rises again about 6 days after it expires.
German Government Doesn’t Think Bitcoin Threatens Financial Stability
Officials from Germany’s federal government do not believe[2] that Bitcoin poses a threat to the existing financial structure, as the volume of crypto transactions is too low as compared to the size of the global financial system to be a great influence. However, the government added that cryptocurrency should be regulated as they continue to monitor the crypto space.
Wells Fargo Bans Credit Card Cryptocurrency Purchases
US bank Wells Fargo has announced[3] a ban of cryptocurrency using their credit cards, citing the “multiple risks” associated with crypto usage. Wells Fargo said that their decision was in line with the “overall industry,” but they will monitor the issue as the market develops.
US Legislature Proposes Study Of Crypto Use In Sex Trafficking
A bill proposed in the US Congress calls[4] for a study on how cryptocurrencies are used in sex trafficking. If the bill becomes a law, the US Comptroller General would need to research how virtual currencies and online marketplaces are connected to sex trafficking, as well as crypto’s use in the illegal drug trade.
Ripple CEO Claims Four Chinese Miners Basically Control Bitcoin
In an interview this week, Ripple CEO Brad Garlinghouse stated[5] that an
